The Senators confirmed that Alfredsson will be in Ottawa next Thursday and will be part of a pre-game ceremony before the game against the New York Islanders at Canadian Tire Centre.
"Dec. 4 will be a truly special and historic day for the Ottawa Senators and #Sens fans. Welcome home #Alfie!" team owner Eugene Melnyk posted on his Twitter account.
Alfredsson spent his first 17 seasons with the Senators and quickly became the face of the franchise.
The Swedish star logged 1,178 regular-season games with Ottawa, scoring 426 goals and adding 682 assists.
He helped Ottawa reach the 2007 Stanley Cup final, where the Senators lost in five games to Anaheim.
Alfredsson signed a one-year contract with Detroit before last season and had 18 goals and 31 assists in 68 games.
The Red Wings were interested in re-signing Alfredsson, but back problems hampered the 41-year-old forward and prevented him from committing to another NHL season.